Foreign Portfolio Investment (FPI)? Benefits and Risks
Foreign portfolio investment (FPI) is the purchase of financial assets—such as stocks, bonds, depositary receipts, mutual funds, or exchange-traded funds (ETFs)—issued in a country…
Foreign Investment: Definition, How It Works, and Types
Overview Foreign investment is the flow of capital from one country into assets or businesses in another. It can take the form of long‑term,…
Forex (FX): How Trading in the Foreign Exchange Market Works
Key takeaways – Forex (foreign exchange, FX) is the global, decentralized market for buying and selling currencies. – It is the largest and most…
Foreign Exchange Reserves: What They Are, Why Countries Hold Them
Foreign exchange (FX) reserves are foreign‑currency denominated assets—cash, deposits, bonds, treasury bills, other government securities and sometimes gold—held by a country’s central bank or…
Foreign Earned Income Exclusion: Overview and Example
The foreign earned income exclusion (FEIE) is an Internal Revenue Service (IRS) provision that lets qualifying U.S. citizens and resident aliens exclude a portion…
Foreign Currency (FX) Swap: Definition, How It Works, and Types
Overview A foreign currency swap (also called a cross‑currency swap) is a bilateral contract in which two parties exchange interest payments denominated in two…
Foreign Corrupt Practices Act (FCPA)? Antibribery Aim
Key takeaways – The FCPA (1977) is U.S. federal law that prohibits bribing foreign officials to obtain or retain business and requires certain companies…
Foreign Aid Explained: Types, Leading Donors, and Global Impact
Foreign aid is the voluntary transfer of resources—money, goods, services, technical expertise, or military assistance—from one country, organization, or private donor to another. Most…
Foreign Account Tax Compliance Act (FATCA): Key Rules and Compliance
Summary / Fast fact – The Foreign Account Tax Compliance Act (FATCA), enacted in 2010, requires U.S. persons to report certain foreign financial assets…
Foregone Earnings
Foregone earnings are the difference between what you actually earn on an investment and what you would have earned if fees, sales charges, higher…